December 06th

Market Report

Our market reports are opinion based and are not instructions to trade. You are responsible for your own trading decisions.

London wheat closed down ~ £1 yesterday following last week’s losses that totaled c. £3.80. For comparison, French wheat was down €8.25 but rapeseed up €8.0

Sterling has now had 5 weeks up, the Eurozone is nervous with talk of referendums / votes taking place. Italian prime minister Renzi resigns due to referendum defeat; Italian bank shares fall sharply as they try to raise finances.

US markets are firmer, led by soya as commercial buying / exports improve.

Abares, the Australian farm ministry, raises crop forecast to 32.6 mmt (+35% year on year) from September forecast of 28.1 mmt.

Canadian wheat crop put at 30.7 mmt; largest for 3 years.

French wheat rated 94% good - very good; this time last year rated 97%, however 2016 French crop had problems; 22% early tillering stage.

Dry weather in South America has seen funds increase bullish position on soya.

author: Joe Beardshaw